Europe Data Center Colocation Market Forecast to Reach USD 46.51 Billion by 2031 as AI and Cloud Demand Accelerate
The Europe data center colocation market, valued at USD 11.65 billion in 2025, is projected to reach USD 46.51 billion by 2031, growing at a 25.95% CAGR. Growth is driven by AI workloads, cloud adoption, hyperscale expansion, digital transformation and demand for high-density infrastructure. Key trends include liquid cooling, renewable energy and waste-heat reuse through district heating. Western Europe leads the market, while the Nordics are the fastest-growing region. Major operators include Equinix, Digital Realty, NTT DATA, CyrusOne, Vantage Data Centers and STACK Infrastructure. The Europe data center colocation market, valued at USD 11.65 billion in 2025, is projected to reach USD 46.51 billion by 2031, growing at a 25.95% CAGR. Growth is driven by AI workloads, cloud adoption, hyperscale expansion, digital transformation and demand for high-density infrastructure. Key trends include liquid cooling, renewable energy and waste-heat reuse through district heating. Western Europe leads the market, while the Nordics are the fastest-growing region. Major operators include Equinix, Digital Realty, NTT DATA, CyrusOne, Vantage Data Centers and STACK Infrastructure.